The situation surrounding the coronavirus pandemic in America is changing daily, and every change is affecting hundreds of thousands of people around the country. Landlords and tenants alike are being put into situations they cannot be prepared for, so what happens next?
On a national level, there are already some resources being made available to landlords in need. The federal stimulus CARES Act includes some provisions that could make ends meet more easily, such as deferred interest and mortgage payments on federally-backed loans. The same bill also puts into place a 120-day moratorium on federally-funded housing, so that is something to consider as well.
Despite this trying situation, there are resources available for both landlords and tenants that can help you to figure out what happens next. While things will continue evolving, having the right resources lined up can make these transitions smoother.
To find out more about what additional resources are available in California, take a look at the information below.
Table Of Contents For California State Resources
- Mortgage Forbearance For Coronavirus In California
- Evictions And Nonpayment Due To Coronavirus In California
- Resources For Tenants During Coronavirus In California
- Can I Show A Rented Unit In California During Coronavirus?
Governor Gavin Newsom of California has worked with major lenders and banks to secure mortgage forbearance for those affected by the COVID-19 pandemic.
Participating lenders are allowing a 90-day grace period for borrowers affected by the COVID-19 situation. Additionally, mortgage fees and charges during this period may be waived. To find out if you are eligible for this relief, find the complete list of participating institutions and their contact information here.
During mortgage forbearance, your mortgage payments may be able to be put on hold for a period of between 90 days and one year depending on the associated financial institution. One thing to keep in mind is that the payments are not going to be erased; they are only delayed.
When contacting your financial institution about delaying payments, ask about their repayment policies as well to find out when you will be responsible for making up those payments. Some companies are simply extending the length of the repayment period while others have other plans.
To ensure your financials will be secure as you move forward, having information about your delayed repayment is a must.
California has issued a moratorium on evictions of renters who cannot pay rent due to COVID-19-related hardships. This moratorium began on March 27th and is currently slated to be in effect through May 31, 2020.
For complete information about this moratorium, visit the Economic Help page on California’s COVID-19 information center.
If your tenants are struggling to make rent due to job loss and loss of hours during this difficult period, helping to connect them with the right resources will also help your business down the line.
Tenants who have lost their job or are facing a reduction in hours because of the pandemic can visit the Employment Development Department’s website to apply for unemployment. If they are sick or taking care of someone sick in the family, they may also qualify for assistance from the California Family Rights Act.
California law about entering a rented property is quite strict regardless of the ongoing pandemic. The law specifies that landlords should not enter a property, even with notice, in ways that will disrupt the renters’ lives. With the current health crisis, some tenants may find showing the property to be a serious disruption.
Though real estate landlords are not included as part of essential businesses during this time, you are currently permitted to continue showing properties. However, showing a rented unit would create liability for you, so it is recommended that you do not show any rented properties.
Stay Up-To-Date In California
The pandemic situation is constantly evolving, and it is going to be important to stay up-to-date with the latest information.
Your primary hub for information should be the California COVID-19 help page; the state government uses this page as a way to keep residents and businesses in touch with the latest news and regulations.
Another way to make sure you are informed is to stay in close contact with your local landlord, real estate, and small business organizations. In addition to the state, they will have information about how the situation is evolving locally, and that can ensure you are in-the-know about all the latest news.